Newsroom

March 27, 2015

Crapo bill requires NCUA, CFPB participation in EGRPRA

Senator Mike Crapo, R-Idaho, introduced new NAFCU-backed legislation last week that would ensure all NCUA, CFPB and Dodd-Frank Act rules are evaluated in the 10-year regulatory review process under the "Economic Growth and Regulatory Paperwork Reduction Act," which seeks to identify rules that are unnecessary, outdated and overly burdensome.

"We appreciate Sen. Crapo's leadership on this issue and recognition of the heavy regulatory burden that credit unions are operating under," said NAFCU Vice President of Legislative Affairs Brad Thaler. "While we are pleased that NCUA has shown leadership in voluntarily participating in the EGRPRA process, we believe requiring review of all existing regulations from financial regulators, especially NCUA and CFPB, as this legislation would do, will help in preventing costly, unnecessary or duplicative rules and help credit unions thrive."

The bill, S. 881, the "Comprehensive Regulatory Review Act of 2015," would make the following reforms to EGRPRA:

  • ensure that CFPB and NCUA are required to take part in the review process;
  • specify that the review process is to include all rulemakings under the Dodd-Frank Act; and
  • expand the review process by requiring it to apply to all financial institutions and not just insured depository institutions.

"Rather than predetermine which rules should or should not be reviewed, this legislation will require the federal financial regulators to review all existing regulations, including Dodd-Frank and CFPB rules," said Crapo in his statement. "Crushed under an ever-increasing regulatory burden, this review is only meaningful if we identify the biggest challenges for community banks and credit unions and provide real solutions."